Tennessee Real Estate Exam Practice Questions

# Tennessee Real Estate Exam Practice Questions

The Tennessee real estate exam is administered by PSI and consists of 120 questions — 80 national and 40 state-specific. You need at least 70% on each section: 56 correct on national and 28 correct on state. Practicing with realistic questions across both sections is the fastest way to identify and close your knowledge gaps.

National Section Sample Questions

Q: Under the Fair Housing Act, which of the following is NOT a federally protected class? A) Race B) Religion C) Source of income D) Familial status

Answer: C. Source of income is not a federally protected class, though some states and localities add it. The seven federal protected classes are race, color, national origin, religion, sex, familial status, and disability.

Q: A property is listed at $350,000. A buyer submits an offer for $325,000 with a 10-day response deadline. Before the deadline, the seller counters at $340,000. The buyer then says they will accept the original list price of $350,000. What is the status of the negotiation? A) A contract exists at $350,000 B) A contract exists at $340,000 C) No contract exists — the original offer was terminated by the counteroffer D) The buyer's acceptance of $350,000 creates a binding contract

Answer: C. The seller's counteroffer terminated the buyer's original $325,000 offer. The buyer cannot revive it. The seller's counteroffer of $340,000 is now the standing offer, and the buyer's statement about $350,000 does not form a contract unless the seller accepts it.

State Section Sample Questions

Q: The Tennessee Real Estate Commission (TREC) is composed of how many members? A) 5 B) 7 C) 9 D) 11

Answer: C. TREC has 9 members and is the regulatory body for Tennessee real estate licensees under TCA Title 62, Chapter 13.

Q: Dual agency in Tennessee residential real estate transactions is: A) Permitted with written consent from both parties B) Prohibited for residential transactions C) Permitted without disclosure D) Only allowed between family members

Answer: B. Tennessee prohibits dual agency in residential transactions. Agents must choose to represent either the buyer or the seller, not both.

Q: The Tennessee Residential Property Disclosure Act requires sellers of residential property to: A) Pay for a professional inspection B) Disclose known material defects using a state-approved form C) Guarantee the property is free of defects D) Allow buyers to inspect the property for 30 days

Answer: B. Tennessee sellers must complete the state-mandated disclosure form revealing known material defects. This applies to residential properties of 1-4 units.

Study Strategy

Focus your state-section study on the Tennessee Residential Property Disclosure Act, TREC disciplinary procedures, and the prohibition on dual agency in residential transactions. These are uniquely Tennessee topics that frequently appear on the exam.